Okun's law states that a one percent increase in this quantity will drop GDP by two percent. This quantity is inversely related to inflation by the Phillips curve. The frictional form of this quantity counts people who are between jobs or people who have just entered the work force. The seasonal for
Okun's law states that a one percent increase in this quantity will drop GDP by two percent. This quantity is inversely related to inflation by the Phillips curve. The frictional form of this quantity counts people who are between jobs or people who have just entered the work force. The seasonal form form is a special case of the structural form of this quantity which can rise due to cultural shifts such as automation. For 10 points, this is what quantity describing the percentage of people who are out of work.
Okun's law states that a one percent increase in this quantity will drop GDP by two percent.
unemployment